EU Act vs GDPR

Understanding the Differences and Overlaps

As organizations adopt AI technologies at scale, they must navigate an increasingly complex regulatory landscape. Two critical frameworks now shaping data governance and AI compliance in the European Union are the General Data Protection Regulation (GDPR) and the newly passed EU Artificial Intelligence Act (AI Act).

While these regulations share foundational principles around accountability and risk management, they serve distinct purposes and introduce different operational requirements. This article outlines the key differences and intersections between the GDPR and the EU AI Act, helping organizations prepare for compliance across both regimes.

Scope and Purpose

GDPR: A Framework for Data Privacy and Individual Rights

The GDPR, implemented in 2018, focuses on protecting personal data and individual privacy across the EU and beyond. It applies to any organization that collects or processes data related to EU citizens, regardless of where the organization is based. Its core principles include transparency, data minimization, and user control over personal information.

EU AI Act: A Risk-Based Approach to AI System Regulation

In contrast, the EU AI Act, expected to be fully enforced by 2026, regulates the development and deployment of AI systems. It introduces a risk-based framework, categorizing AI applications into prohibited, high-risk, limited-risk, and minimal-risk systems. The AI Act addresses not only personal data but also the design, use, and governance of AI technologies, regardless of whether they involve personal data.

Legal Foundations

While the GDPR is rooted in fundamental rights, including the right to privacy under the EU Charter of Fundamental Rights, the AI Act derives from the need to ensure AI systems are safe, transparent, and aligned with EU values.

GDPR focuses on individual rights; the AI Act emphasizes systemic oversight and trustworthy AI practices.

Key Operational Differences

• Data Use vs. System Design: GDPR governs how personal data is collected, processed, and stored. The AI Act regulates how AI systems are designed, trained, validated, and deployed, including their intended purpose and risk category.
• Risk Classification: The AI Act introduces explicit risk categories for AI systems. High-risk AI systems—such as those used in hiring, credit scoring, or critical infrastructure—must meet strict requirements for transparency, robustness, and human oversight.
• Consent and Rights: Under GDPR, users must provide informed consent for data use and retain rights like access, rectification, and erasure. The AI Act focuses more on transparency obligations (e.g., informing users they are interacting with an AI system) and ensuring appropriate human control.

Overlaps and Synergies

There is considerable overlap in areas like accountability, transparency, and security. Both laws require documentation, impact assessments, and clear governance processes. For example, organizations deploying high-risk AI under the AI Act may also need to conduct Data Protection Impact Assessments (DPIAs) under GDPR if personal data is involved.

Both frameworks also require clarity in roles—controllers and processors in GDPR, and providers, users, and importers in the AI Act—with obligations to ensure lawful, ethical, and technically sound practices.

Compliance Implications

To comply with both the GDPR and the EU AI Act, organizations must integrate privacy and AI governance into their software lifecycle.

This includes:

• Maintaining audit trails and technical documentation for AI systems.
• Conducting risk assessments and registering high-risk AI systems.
• Ensuring data minimization and transparency throughout data and model lifecycles.
• Coordinating roles across compliance, legal, and engineering teams.

ModelOp Center plays a key role in helping enterprises operationalize these requirements. By managing model risk, automating compliance workflows, and maintaining a governance inventory, ModelOp enables organizations to align AI development with both GDPR and AI Act standards.

Conclusion

While the GDPR safeguards personal data, the EU AI Act governs how AI systems are built and used. Together, they reflect the EU’s intent to promote innovation while protecting fundamental rights.

For organizations deploying AI in the EU or working with EU data subjects, understanding and integrating the requirements of both regulations is not optional—it’s essential. Now is the time to assess system readiness, map data flows, and implement robust AI governance processes.

Learn more about AI regulations and standards.

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